Employee Churn: Making Sense of the Whirlpool

Attrition is a vital measure of leadership and business success. In smaller organisations the challenges can be even more apparent.

Think of your own business, can you explain employee churn levels to all relevant stakeholders?

Clients: How do they perceive the constant changes in your team? It’s of particular importance when they are pleased with the level of service and support they have been receiving.

The current team: It’s important to effectively communicate why staff members are moving on. Instil the belief in your people that your leadership style and business model is the correct one.

Prospective or new employees: They need to know why previous employees have left or why your business is experiencing the churn it is.

The Board: Why under your leadership the business hasn’t quite settled as planned. Perhaps it’s impacting the bottom line and putting your brand at risk.

There are a few rules of thumb when it comes to internal communications of this nature.

Businesses of all sizes experience employee churn from time to time. If you’re unsure how to handle it, call on an expert.

Do

Be honest with both clients and employees.

Accept in the majority of cases people decide to leave for personal development reasons, be proud and celebrate.

Maintain relationships with those leaving your company, you never know what the future could bring.

Use objective ways of seeking feedback; use an independent consultant or business partner to get to the root of the issues

Use the opportunity of managing change as a chance to get things right. Have a plan and stick with it. ‘Dabbling’ as I call it just adds confusion and sends mixed messages

Take stock of your business culture and values.

Don’t

Blame others; it puts your company credibility at risk; particularly with clients who are not interested in company politics!

Take reasons for employees leaving personally, although you may have to accept over time there may be an element of this.

Try to enforce changes to contractual terms at the point of resignation; this can lose a lot of goodwill and create scepticism amongst others.

Allow exiting employees to have the upper hand when it comes to legalities. Know what your rights are as an employer if you are worried about competitive threat or seek professional employment law advice.

Businesses of all sizes experience employee churn from time to time. If you’re unsure how to handle it, call on an expert. It can make a world of difference to your business.